By Pantera
Judging from historic records and price action since 2013, the crypto market probably still has more time left to inflate into a bubble territory and reach unsustainable levels.
The only question that remains unanswered is which event will trigger the next bear run (likely to begin in 2025).
In this story, we humorously explore the actual indicators that signal the peak, signs that are often overlooked or misunderstood despite being easily noticeable.
Forget the unreliable technical analysis you see on YouTube and Twitter since most so-called “experts” are just guessing.
Yet, the market today is one step before the final push with a parabola set to take place.
The stars have aligned once more, but as we expect the prices to surge, we should also brace ourselves for the inevitable price collapse that is bound to happen.
In a nutshell, our sole goal is to recognize euphoria and exit in profit before the upcoming bubble bursts.
The ride might be thrilling, but the key to winning this game is knowing when to get off with gains intact!
Past Successful Predictions
In 2022, I published two stories outlining key indicators that accurately predict the bottom, and my predictions were flawless, with every single indicator playing out as anticipated.
In December 2022, 8 out of 10 indicators signaled an entry point, and by 2023, the remaining two indicators emerged, leading to a significant market recovery. While many were panicking, others took advantage of the downturn.
When most were panicking, others were buying the blood on the street.
Contrary to the prevailing sentiment, I’m here to guide you on when to start worrying about your crypto investment. A new story will follow as soon as indicators start flashing red. So, while I’m definitely not predicting the top just yet, it is wise to be prepared for what’s ahead.
So, without further ado, here are the top 10 indicators to watch out for when the new bubble is about to burst, and it’s time to hop off the hype train.
The Top 10 Indicators Of The Market Peak
1. Crypto Massively Promoted On TV
TV shows, financial news, and websites will suddenly develop an interest in cryptocurrency.
The intensity of reports on cryptocurrency prices will intensify.
However, beyond the factor of speculation, actual adoption is minimal, with only a handful of cryptocurrencies pursuing realistic use cases and targets.
When mainstream media coverage intensifies, it’s a red flag. This often signals that the market is overheating and could soon collapse, especially as the increased publicity attracts a surge of new investors.
Entertainment shows with little financial insight will start discussing cryptocurrency, as it becomes a trending topic that attracts viewers.
The crypto bubble will not last for more than two or three months after it becomes mainstream again.
We’ve seen the same happening in 2013, 2017 and 2021. It will be the same again in late 2024 and early 2025.
We’re not in the hype phase yet, so watch for increased media focus before becoming concerned.
2. Celebrities And Influencers Endorse Cryptocurrency En Masse
Celebrities and social media influencers consistently act as counter-indicators when it comes to their dubious financial endorsements.
I published my thesis on this topic in early 2021, analyzing the events of 2017 (though much more unfolded in the following years):
:
10. Your Hairdresser Bought Crypto
I have no issues with any profession, and a hairdresser is an important one, but hey, look, if you missed all of the rest indicators, if you can’t see you are living in a bubble, your hairdresser will be the last and only indicator you will ever need.
So, as prices keep going up for an extensive time frame, remember to pay your hairdresser visits often, like once per month.
However, it has to be your hairdresser who begins this discussion, otherwise, the indicator does not guarantee results.
Conclusion
Here’s another one of my predictions (2021) that materialized:
After the top, Bitcoin will crash dramatically and another two-year bear market arrives.
The parabolic trend looks to be over, if it keeps going it will be over the next time, but I don’t see it.
I see a top being settled and not reached again perhaps until 2024.
— Pantera (03–03–2022)
Relying on a single indicator is not sufficient to make you feel uncomfortable with your crypto investment.
Typically, we need a combination of indicators to raise alarms.
Yet, the final indicator (10) has the potential to act as a major alert on its own.
Also worth noticing is that none of these indicators signal the market stands at its peak right now. While most likely there is a bubble, there is still a lot of room to grow before it bursts.
None of the above indicators is flashing red at this point.
We have 0/10 so there’s almost no odds of the bull run stopping here and the parabola not occuring.
Once you spot most or all of the indicators materialize, it will probably be too late already, so try to be careful about which crypto influencers you follow.
Don’t start worrying yet but make sure to study actual indicators that will direct you towards reasonable investing.
Right now we watch all of the dips getting filled, interest slowly rising and none of the above indicators flashing sell.
However, being extremely confident is probably the eleventh indicator I overlooked. So, despite all the analysis and signs we might observe, things can go awry at any given time and there’s not much we can do about that besides managing our risk effectively.
